Netflix continues to make traditional TV nervous

dkreichen1968

Moderator
Staff member
#1
Time Warner Cable chairman and CEO Glenn Britt told a media conference this week that cable operators should focus on winning back video subscribers. Speaking at the Deutsche Bank Securities Media & Telecom conference in Palm Beach, FL, Britt said the years of basic video subscriber losses are taking its toll.


According to the NCTA, cable companies have lost a collective 4.8 million video customers from their peak in 2001 to 2009.


“It is not acceptable to me to continue to slowly lose video customers every year,” Britt said. “That has been going on for too long. We’re going to put renewed energy against that both in the product space and in marketing to see if we can slow that down.”
Netflix continues to make traditional TV nervous

Ultimately, the combination of OTA digital television and alternative video services makes the traditional cable model less lucrative. Streaming services may be the talk right now, but other alternatives are on their way. IP services like Sezmi and SkyAngel promise to provide cable channels to suppliment local OTA channels for a reduced cost. Even Dish Network now offers IP offerings for those who aren't able to have a Dish. It's not like cable companies are going out of business. Infact, most are making more money off of business accounts and cell phone backhaul, but the way people receive their video programming is certainly changing.
 

n2rj

Moderator
Staff member
#3
Yeah hopefully the cable companies will realize that yearly rate hikes that they have often unfairly blamed on programming providers simply won't fly anymore.
 

EscapeVelocity

Moderator, , Webmaster of EV's Antenna Blog
#6
I'd like to see different tiers if they're going to raise prices.
One of the problems is that as people drop cable and sat, the content providers and rights holders will demand a bigger revenue stream from the internet streaming businesses. For the last couple of years, the internet streaming has only been a extra bit on top and first steps into a new distribution system, not the core of the revenue stream.

Expect prices to rise.
 

Tim58hsv

DTVUSA Member
#7
Apparently it's a big secret but Netflix has already raised their prices.

Last year I upgraded my Netflix plan to get out 2 disc at a time so the bill went from $8.99 (for 1 disc) a month to $13.99 a month. Not a bad price at all. After several months of not really utilizing the plan I decided to downgrade it back to the 1 disc at a time plan. When initiating the change a message came up on screen saying that the 2 disc for $13.99 deal wouldn't be allowed again.

Thought that was sorta' odd but I downgraded it anyway. Turns out that now the 1 disc at a time plan will cost $9.99 a month and should I elect to go back to the 2 disc plan, that will cost $14.99 a month.

Still, a heck of a good deal and I'm not complaining. Just saying that they have raised their prices.
 
Last edited:

MrPogi

Moderator, , Webmaster of Cache Free TV
Staff member
#9
I'll have to keep my one out plan. There's no way they have enough online to make me happy (new releases especially) and 2 out plan would be overkill.
 
#11
Good to see you, EV!

AT&T customers better raise the roof like Time Warner customers did a couple of years ago in selected test markets for measured service. It's ridiculous that we in the USA are exploited by cable and telephone companies while broadband customers in Asia receive 100 megabit per second connections for the equivalent of 40 bucks per month. My two megabit per second connection via Time Warner costs 40 bucks per month, and it's 50 times slower than a same priced connection in Asia! It's ridiculous! Our politicians are more interested in campaign contributions and receiving fancy perks from special interests and lobbyists than in representing the best interests of their constituents. Our government should be encouraging broadband providers to implement speed increases at economical prices so that we don't continue to lose our ability compete with Asian economies. Poor folks and those on a fixed income don't stand a chance under measured Internet service proposals.
 

dkreichen1968

Moderator
Staff member
#12
In Blair Levin and Julius Genachowski's thinking this spectrum grab is suppose to give us lower cost broadband by increasing competition. I really don't think that it will work that way, but that is the rational behind the NBP.
 

Similar threads

Top